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| Hinkley Point: China warns UK not to drive away investors | |
| (35 minutes later) | |
| Theresa May has been warned by China not to risk driving away Chinese investors as the country’s official news agency questioned the British government’s delay in approving the controversial new Hinkley Point C nuclear power plant. | Theresa May has been warned by China not to risk driving away Chinese investors as the country’s official news agency questioned the British government’s delay in approving the controversial new Hinkley Point C nuclear power plant. |
| Xinhua news agency said China understood and respected Britain’s requirement for more time to think about the deal, but it dismissed fears that China would put “backdoors” into the technology used on the project, that might present threats to UK national security. | Xinhua news agency said China understood and respected Britain’s requirement for more time to think about the deal, but it dismissed fears that China would put “backdoors” into the technology used on the project, that might present threats to UK national security. |
| It said: “China can wait for a rational British government to make responsible decisions, but cannot tolerate any unwanted accusation against its sincere and benign willingness for win-win cooperation.” | |
| Xinhua commentaries are not official government statements, although they are often viewed as offering a taste of the regime’s thinking. | Xinhua commentaries are not official government statements, although they are often viewed as offering a taste of the regime’s thinking. |
| Related: Osborne rejected safeguards over Chinese role in Hinkley Point, says ex-minister | Related: Osborne rejected safeguards over Chinese role in Hinkley Point, says ex-minister |
| The article came after the British prime minister was reported to have previously voiced concerns about the security implications of a planned Chinese investment at Hinkley Point, views which emerged following her government’s surprise delay to giving the £18bn project the green light last week. | The article came after the British prime minister was reported to have previously voiced concerns about the security implications of a planned Chinese investment at Hinkley Point, views which emerged following her government’s surprise delay to giving the £18bn project the green light last week. |
| Responding to the Xinhua report, the prime minister’s official spokeswoman said: “The PM’s focus is on making sure we take the right decision, recognising that we need a reliable and secure energy supply, recognising that nuclear energy is an important part of that.” | Responding to the Xinhua report, the prime minister’s official spokeswoman said: “The PM’s focus is on making sure we take the right decision, recognising that we need a reliable and secure energy supply, recognising that nuclear energy is an important part of that.” |
| She would not be drawn on whether May had national security concerns about Chinese involvement in Hinkley or whether No 10 had had any contact with Chinese officials. | |
| However, she added: “This is just about taking the time to carefully consider all the component parts of the project. This is a big infrastructure decision and it’s right the new prime minister and new government take the time to make sure they are fully informed.” | However, she added: “This is just about taking the time to carefully consider all the component parts of the project. This is a big infrastructure decision and it’s right the new prime minister and new government take the time to make sure they are fully informed.” |
| Vince Cable, the Liberal Democrat former business secretary, had said May was previously against relaxing visa requirements for visiting Chinese businessmen when she was home secretary and had to be overruled by the then chancellor, George Osborne. | Vince Cable, the Liberal Democrat former business secretary, had said May was previously against relaxing visa requirements for visiting Chinese businessmen when she was home secretary and had to be overruled by the then chancellor, George Osborne. |
| Cable suggested May had a “general prejudice” against Chinese investment due to national security concerns. “It came up in all kinds of different ways. Osborne kept pushing for more liberal treatment of visas for Chinese businessmen and she was very reluctant to go along with that. So I think she has form in adopting a more suspicious approach, more in line with the American position,” he told the Sunday Telegraph. | Cable suggested May had a “general prejudice” against Chinese investment due to national security concerns. “It came up in all kinds of different ways. Osborne kept pushing for more liberal treatment of visas for Chinese businessmen and she was very reluctant to go along with that. So I think she has form in adopting a more suspicious approach, more in line with the American position,” he told the Sunday Telegraph. |
| When the UK government was led by David Cameron and Osborne, the UK courted Chinese investment and was lauded last year by China’s president, Xi Jinping, for the “visionary and strategic choice” to become Beijing’s best friend in the west. | When the UK government was led by David Cameron and Osborne, the UK courted Chinese investment and was lauded last year by China’s president, Xi Jinping, for the “visionary and strategic choice” to become Beijing’s best friend in the west. |
| Britain and France’s EDF first reached a broad commercial agreement on Hinkley Point C in 2013, which has been dogged by concerns about its cost. China got involved two years later, via China General Nuclear Power Corporation (CGN), and Downing Street laid on a state visit for Xi Jinping designed to cement a “golden era” of relations between the two countries. | Britain and France’s EDF first reached a broad commercial agreement on Hinkley Point C in 2013, which has been dogged by concerns about its cost. China got involved two years later, via China General Nuclear Power Corporation (CGN), and Downing Street laid on a state visit for Xi Jinping designed to cement a “golden era” of relations between the two countries. |
| Asked if May has a different view on Chinese investment to her predecessor, her spokeswoman added: “The government has been clear Britain is open to business and wants to be attracting investment from all round the world. | |
| “Of course, the role China plays in world affairs, the global economy, we are going to continue to seek a strong relationship with China.” | “Of course, the role China plays in world affairs, the global economy, we are going to continue to seek a strong relationship with China.” |
| Whitehall moved last week to reassure Hinkley’s two foreign backers about the project’s viability after they were spooked by the UK’s shock delay. | Whitehall moved last week to reassure Hinkley’s two foreign backers about the project’s viability after they were spooked by the UK’s shock delay. |
| The UK refused to give immediate approval for the nuclear plant just two hours after EDF announced its board had approved construction of Hinkley Point C. EDF’s approval had been preceded by a week of blanket media coverage predicting that the project was about to be given the go-ahead. | The UK refused to give immediate approval for the nuclear plant just two hours after EDF announced its board had approved construction of Hinkley Point C. EDF’s approval had been preceded by a week of blanket media coverage predicting that the project was about to be given the go-ahead. |
| CGN, which would hold an estimated one-third stake in Hinkley, said on Saturday it respected the decision of the new British government to take the time needed to familiarise itself with the programme. | CGN, which would hold an estimated one-third stake in Hinkley, said on Saturday it respected the decision of the new British government to take the time needed to familiarise itself with the programme. |
| EDF declined to comment. | EDF declined to comment. |